A daily dose of market updates to guide your investment decisions.
April 20, 2026
Chart of the Day
Oil prices climbed after renewed US-Iran tensions over the weekend, triggered by Washington’s seizure of an Iranian vessel. Iran warned it will keep the Strait of Hormuz shut and reject talks unless the blockade is lifted. Source: Bloomberg
Financial market updates
The USD/PHP exchange rate opened 12 centavos lower at 60.09 last Friday, with the dollar recovering in global foreign exchange market during the New York session.
The rest of the session saw two-way action between 59.95-60.10 on the back of thin liquidity onshore and rangebound trading across foreign currency markets.
The USD/PHP exchange rate ultimately closed at 60.035, or 6.5 centavos higher day-on-day.
Following a quieter end last week, some consolidation is expected, heading into the Bangko Sentral ng Pilipinas (BSP) Monetary Board meeting this Thursday with expectations mixed between a 25-basis-point rate hike and a pause.
The current support levels of USD/PHP are 59.50/70, while the resistance levels are 60.30/50.
The local Government Securities market opened sideways last Friday due to the absence of new overnight catalysts to drive yields.
Client-driven interest emerged in the 5–20Y sector at 5–10 bps above prior closes, triggering stronger secondary market selling, with benchmark bonds 7 71 (4.8Y) and 20 17 (5.3Y) trading about 5 bps higher at 6.30% and 6.40%.
Afternoon bottom fishing partially reversed losses; bonds closed mixed, generally 4–7 bps from previous levels.
The focus shifts to this week’s 7-year BTr auction, with the indicative range for the reissuance of FXTN 10-71 at 6.525%–6.650%.
Cautious bidding is expected ahead of the BSP policy decision this Thursday. Metrobank Research anticipates a 25-bp rate hike.
The Philippine Stock Exchange index (PSEi) ended 64.56 lower at 5,999.13 last Friday, closing a volatile week on a weak note as the key support level finally gave way.
Losses were broad-based, with all sectors in the red and Holding Firms leading the decline at -1.91%.
Heavyweights such as SM Investments Corp. (-3.79%) and Puregold Price Club Inc. (-2.79%) led the drag.
Meanwhile, pockets of strength, particularly JG Summit Holdings Inc. (+2.09%) and Century Pacific Food Inc (+1.59%), offered limited support.
Investor sentiment remains fragile amid the ongoing ceasefire talks, reflected in market breadth of 100 decliners versus 86 advancers heading into the weekend.
| 2025 Actual | 2026 Metrobank Forecast | 2027 Metrobank Forecast | |
|---|---|---|---|
| GDP | 5.7% | 6.1% | 6.0% |
| Inflation | 2.2% | 3.3% | 3.0% |
| BSP Target Reverse Repurchase Rate | 4.75% | 4.25% | 5.00% |
| Federal Funds Rate | 4.00% | 3.50% | 4.00% |
| USD/PHP | 56.1 | 56.7 | 55.0 |
The report above is circulated for general information only. The opinions expressed are solely those of the contributors and are based on prevailing market conditions and public sources that are believed to be reliable. Metrobank and the report contributors/support staff do not make any guarantees or representation as to the accuracy, completeness or suitability of this report.
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